Introduction
- The new Chancellor, Kwasi Kwarteng, delivered his first mini budget a few minutes ago.
- It is the most progressive and revolutionary change to taxation for decades.
- It has transformed the entire system, together with key elements.
- Here are the key points:
Key Points
- The government will cut stamp duty land tax, with the limit raised to £250,000 or £425,000 for first-time buyers.
- Household bills to be cut by an expected £1,400 this year with aid from energy price guarantee and £400 grant.
- Planned rise in corporation tax to 25% next year is cancelled.
- April’s National Insurance hike of 1.25% is to be reversed from 6 November.
- IR35 legislation of 2017 and 2021 to be repealed.
- The basic rate of income tax will be cut to 19%.
- The 45% higher rate of income tax is to be abolished.
- Dividend Tax Increase of 1.25% is scrapped.
- VAT-free shopping for overseas visitors.
- Planned duty rises on beer, cider, wine and spirits cancelled.
Action Being Taken by Avar
- Before the announcement of the new Prime Minister, all changes to everyone’s affairs had been suspended.
- Automatically everyone’s affairs will be reviewed and appropriate action taken to ensure tax mitigation.
- We will be contacting all existing clients, individually, and letting them know the implications of these changes to them, personally.
- All new enquiries will be handled personally by Ash.